Durbin Urges Private Student Loans Be Discharged in Bankruptcy

[LorenS]

Re: Durbin Urges Private Student Loans Be Discharged in Bankruptcy

Student loans are only part 1. My wife has signed up for an "Economics" class at the local community college. The text book is available "only online". For $90 she will get read access to this fabulous tome (for the duration of the course). And after that will have nothing.

Has anyone else seen this? Does the professor get a kick back? What benefit is there to the student?

Is every student required to have a nationwide data plan now?

[shiny!]

Re: Durbin Urges Private Student Loans Be Discharged in Bankruptcy

Here is more "news" on this student loan topic.

http://www.reuters.com/article/2012/...87E13L20120815

Tough days ahead...

From the article:

A military veteran sharing his story with Occupy Student Debt has paid $18,000 on a $2,500 loan, and Sallie Mae claims he still owes $5,000; the husband of a social worker bankrupt and bedridden after a botched surgery tells Student Loan Justice of a $13,000 college loan balance from the 1980s that ballooned to $70,000. A grandmother subsisting on Social Security has her payments garnished to pay off a $20,000 loan balance resulting from a $3,500 loan she took out 10 years ago, before she underwent brain surgery.

The poor and weak are forced to pay till they die, but Corazine and JPM steal a billion dollars and walk free.

"Gold is the money of kings; silver is the money of gentlemen; barter is the money of peasants; but debt is the money of slaves." - Norm Franz

This sorry state of affairs meets every definition of "debt slavery".

"Those who make a peaceful revolution impossible, make violent revolution inevitable." - John Fitzgerald Kennedy

I don't think a revolution- peaceful or otherwise- is possible anymore. If true, doesn't that make us all slaves?

[Verrocchio]

Re: Durbin Urges Private Student Loans Be Discharged in Bankruptcy

I miss him a lot. Thank you for your kind thoughts - it means the world to me.

The pre-trial hearing for the man who killed him is this Wednesday. The hearing was originally set for last month on the anniversary of his death; I was a wreck for weeks leading up to it. Then he lawyered up at the last minute and got it postponed to the 28th. So I get to go through this hell again. I'm not doing so great.

We can only imagine how you must feel. Our thoughts are with you.

[Verrocchio]

Re: Durbin Urges Private Student Loans Be Discharged in Bankruptcy

No, the prof won't get a kickback.
The benefit to the student is that she didn't have to buy a text that may have cost upwards of $200 for the course.
No, every student isn't required to have a nationwide data plan now.

[Verrocchio]

Re: Durbin Urges Private Student Loans Be Discharged in Bankruptcy

Students who take out loans from private lenders to finance their education should have the same right to discharge their debt in bankruptcy that other borrowers enjoy, Illinois Senator Dick Durbin said today.
“While the overall growth in student indebtedness is troubling, the most pressing concern is private student loans,” Durbin, the No. 2 Senate Democrat, said in prepared remarks at a Senate judiciary subcommittee hearing. “These private student loans are a far riskier way to pay for an education than federal loans.”
Outstanding student-loan debt reached anestimated $867 billion in the fourth quarter, and is greater than total U.S. credit-card debt. The student debt includes private loans, which don’t offer options as some government-backed loans when borrowers become financially distressed, including income-based repayment. Durbin introduced a bill in May to eliminate a 2005 provision that made privately issued student loans nondischargable in bankruptcy.

etc

http://www.bloomberg.com/news/2012-0...ankruptcy.html

Clearly, Dickie is on the right side of this issue -- now. Does anyone know where he was when the bankruptcy law was passed, that stipulated that student loans could not be discharged in bankruptcy?

[Slimprofits]

Re: Durbin Urges Private Student Loans Be Discharged in Bankruptcy

Clearly, Dickie is on the right side of this issue -- now. Does anyone know where he was when the bankruptcy law was passed, that stipulated that student loans could not be discharged in bankruptcy?

Durbin voted against the 2005 bill. This was a bi-partisan effort with more than enough Democrats voting in favor it (including Reid, Biden and Baucus) to cover for those that voted against it, 19 out 44 plus Joe Lieberman. Clinton didn't vote for some reason. No Republican Senators voted against the bill.

[shiny!]

Re: Durbin Urges Private Student Loans Be Discharged in Bankruptcy

Thanks, Verrocchio. The guy who killed my husband walked on a technicality. He never expressed even one word of remorse. It's very difficult. I'm going to try to get the law changed in AZ so that particular technicality can never happen again.

[Verrocchio]

Re: Durbin Urges Private Student Loans Be Discharged in Bankruptcy

Durbin voted against the 2005 bill. This was a bi-partisan effort with more than enough Democrats voting in favor it (including Reid, Biden and Baucus) to cover for those that voted against it, 19 out 44 plus Joe Lieberman. Clinton didn't vote for some reason. No Republican Senators voted against the bill.

Thanks for the info, and glad to hear this! The cynicism in my question reflected my growing disenchantment about the political system and wasn't meant to target Dicky-boy. Good on him for consistency and being on the right side of the issue.

[cjppjc]

Re: Durbin Urges Private Student Loans Be Discharged in Bankruptcy

Thanks, Verrocchio. The guy who killed my husband walked on a technicality. He never expressed even one word of remorse. It's very difficult. I'm going to try to get the law changed in AZ so that particular technicality can never happen again.

I hope he was just keeping his thoughts and feelings to himself. Maybe on the advise of counsil. If he truely has no remorse, I can imagine how much harder it makes it for you.

God bless you.